ScoreWhy is NEC Capital Solutions Ltd. ?
1
Weak Long Term Fundamental Strength with an average Return on Equity (ROE) of 6.71%
- Poor long term growth as Operating profit has grown by an annual rate of -1.26%
2
Poor long term growth as Operating profit has grown by an annual rate of -1.26%
3
Flat results in Jun 26
- INTEREST(HY) At JPY 86 MM has Grown at 30.3%
- DEBT-EQUITY RATIO (HY) Highest at 807.36 %
4
With ROE of 4.93%, it has a very attractive valuation with a 0.71 Price to Book Value
- The stock is trading at a premium compared to its peers' average historical valuations
- Over the past year, while the stock has generated a return of 3.69%, its profits have fallen by -22%
5
Underperformed the market in the last 1 year
- The stock has generated a return of 3.69% in the last 1 year, much lower than market (Japan Nikkei 225) returns of 59.79%
Real-Time Research ReportHow much should you hold?
- Overall Portfolio exposure to NEC Capital Solutions Ltd. should be less than 10%
- Overall Portfolio exposure to Finance should be less than 30%
(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Finance)
When to exit? - We will constantly monitor the company and suggest at the appropriate time to exit from the stock
Is NEC Capital Solutions Ltd. for you?
Low Risk, Low Return
Absolute
Risk Adjusted
Volatility
NEC Capital Solutions Ltd.
3.69%
0.29
18.21%
Japan Nikkei 225
59.79%
2.03
29.50%
Quality
Management Risk
Growth
Capital StructureQuality key factors
Factor
Value
Sales Growth (5y)
2.90%
EBIT Growth (5y)
-1.26%
EBIT to Interest (avg)
100.00
Debt to EBITDA (avg)
Negative Net Debt
Net Debt to Equity (avg)
0
Sales to Capital Employed (avg)
0
Tax Ratio
36.28%
Dividend Payout Ratio
35.20%
Pledged Shares
0
Institutional Holding
0
ROCE (avg)
31.43%
ROE (avg)
6.71%
ValuationValuation Key Factors 
Factor
Value
P/E Ratio
14
Industry P/E
Price to Book Value
0.71
EV to EBIT
2.65
EV to EBITDA
0.54
EV to Capital Employed
0.36
EV to Sales
0.08
PEG Ratio
NA
Dividend Yield
NA
ROCE (Latest)
13.70%
ROE (Latest)
4.93%
TechnicalsTechnical key factors
Indicator
Weekly
Monthly
MACD
Bullish
Mildly Bearish
RSI
No Signal
No Signal
Bollinger Bands
Sideways
Mildly Bullish
Moving Averages
Bullish (Daily)
KST
Mildly Bullish
Mildly Bearish
Dow Theory
Mildly Bearish
No Trend
OBV
Mildly Bearish
Mildly Bullish
Technical Indicator Scale: Bearish, Mildly Bearish, Sideways, Mildly Bullish, Bullish Turned 
Financial Trend10What is working for the Company
NET SALES(HY)
At JPY 173,892 MM has Grown at 33.37%
NET PROFIT(HY)
At JPY 4,914.58 MM has Grown at 70.34%
DEBTORS TURNOVER RATIO(HY)
Highest at 0.38 times
RAW MATERIAL COST(Y)
Fallen by -15.24% (YoY
PRE-TAX PROFIT(Q)
Highest at JPY 4,206 MM
-5What is not working for the Company
INTEREST(HY)
At JPY 86 MM has Grown at 30.3%
DEBT-EQUITY RATIO
(HY)
Highest at 807.36 %
Here's what is working for NEC Capital Solutions Ltd.
Net Sales
At JPY 173,892 MM has Grown at 33.37%
Year on Year (YoY)MOJO Watch
Near term sales trend is positive
Net Sales (JPY MM)
Net Profit
At JPY 4,914.58 MM has Grown at 70.34%
Year on Year (YoY)MOJO Watch
Near term Net Profit trend is positive
Net Profit (JPY MM)
Debtors Turnover Ratio
Highest at 0.38 times and Grown
In each half year in the last five Semi-Annual periodsMOJO Watch
Company has been able to sell its Debtors faster
Debtors Turnover Ratio
Pre-Tax Profit
Highest at JPY 4,206 MM
in the last five periodsMOJO Watch
Near term Pre-Tax Profit trend is positive
Pre-Tax Profit (JPY MM)
Raw Material Cost
Fallen by -15.24% (YoY)
MOJO Watch
The company's ability to pass on the cost of raw materials to customers has improved; this may lead to a rise in profit margin
Raw Material Cost as a percentage of Sales
Depreciation
Highest at JPY 6,371 MM
in the last five periodsMOJO Watch
The expenditure on assets done by the company may have gone into operation
Depreciation (JPY MM)
Depreciation
At JPY 6,371 MM has Grown at 31.52%
period on period (QoQ)MOJO Watch
The expenditure on assets done by the company has gone into productive use which should positively reflect in the future sales
Depreciation (JPY MM)
Here's what is not working for NEC Capital Solutions Ltd.
Interest
At JPY 86 MM has Grown at 30.3%
over previous Semi-Annual periodMOJO Watch
Rising interest cost signifies increased borrowings
Interest Paid (JPY MM)
Debt-Equity Ratio
Highest at 807.36 %
in the last five Semi-Annual periodsMOJO Watch
The company is borrowing more to fund its operations; it's liquidity situation may be stressed
Debt-Equity Ratio
InfinHub Market Technologies FZ-LLC, Building-2, Unit 112, Dubai Internet City, Dubai, United Arab Emirates
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